Traders see thin possibility of markets’ revival in near future

Source: The Hitavada Date: 12 Sep 2017 11:11:06

By Niraj Chinchkhede,

FIRST it was the demonetisation that gave a major blow to country’s economy throwing trading activities out of gear all of a sudden. Then the clouds of uncertainty over as Goods and Services Tax (GST) spoiled traders' calculations during the first quarter of the current fiscal. It followed by implementation of the new tax regime that again gave sleepless nights to trading community especially the small traders who barely got a chance to breath a sigh of relief in last nine to ten months.

Adding to the woes, on going‘Pitru Paksha’, when majority of people refrain from buying, is further making the markets dull. But what troubles the traders most is the thin possibility of market revival in near future. B C Bhartia, President of Confederation of All India Traders (CAIT) said that the commercial activities appeared to have trapped between two typical events.

“On one hand, demonetisation has taught the consumers to spent less and on the other traders have been engrossed in various compliances under GST. One can feel its repercussions in almost all sectors,” he said making it very loud and clear that markets would take considerable time to bounce back. Hemant Gandhi, President of Nag Vidarbha Chamber of Commerce (NVCC), also said, traders are bearing the burnt of s l o w d o w n .

“There are various reasons because of which the buyers are shying away from the markets. Many small traders are also in a state of confusion over the newly launched tax regime. It is very much palpable in the markets,” he said. According to Gandhi, the markets would continue similar trends for next few months.

“Normally the festival season brings excitement in the markets but with demonetisation, roll out of GST and unsatisfactory rainfall in the current season happening one after the other, I do not see things will improve significantly at least in next two to three months,” he said. Dipen Agrawal, President of Chamber of Associations of Maharashtra Industry & Trade (CAMIT) said, “Markets all over the country are reeling under pressure.There are no buyers and the trading a c t i v i t i e s appeared to have come to standstill. It is really a tough phase for the traders,” he said adding that traders are facing hardship because of the back-to-back hurdles like demonetisation and GST. Agrawal said that small traders are very cautious about Goods and Services Tax.

“They do not wish to attract penalties prescribed in the new taxation system. It has negatively impacted the businesses,” he pointed out. Echoing similar sentiments, another trader said that on-going work of Metro Rail and cement roads in city’s prominent roads has also hit the business to a larger extent.“One side traffic on road in front of my shop has been blocked. It has caused irreparable loss to me,” he said.